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Today at a glance:
📶 Marvell: Custom Silicon Breakout
📦 PDD: Growth Slows Again
✅ Intuit: DIY Price Reset
🧠 Synopsys: EDA Reaccelerates
🏗️ Autodesk: MaintainX Lands Cleanly
👔 Workday: AI Mix Jumps
🧑⚕️ Veeva: Falcon Lands Early Adopters
🖥️ Zoom: Enterprise Momentum Returns
🌈 Affirm: Growth Meets Leverage
🔐 Okta: Agent Deals Arrive
🔷 Rubrik: ARR Picks Up
🛒 Best Buy: PC Prices Do The Work
☁️ Nutanix: Hardware Workarounds Scale
🔍 Elastic: AI Penetration Jumps
🏥 HealthEquity: Margins Keep Climbing
1. 📶 Marvell: Custom Silicon Breakout
Marvell Q2 FY27 revenue (ending August 1st) rose 37% Y/Y to a record $2.74 billion ($30 million beat), with non-GAAP EPS of $0.94 ($0.01 beat).
Data Center revenue jumped 46% to $2.17 billion, representing 79% of total sales, as demand for AI infrastructure remained exceptionally strong.
Custom silicon should bring the next leg of growth. Management expects a significant acceleration beginning in H2 FY27, followed by custom silicon revenue more than doubling in FY28 as hyperscalers increasingly design their own AI chips. Marvell also expanded its partnership with Google across AI accelerators, storage, networking, and near-memory compute, backed by a six-year warrant agreement.
Connectivity remains a major driver. Demand for optical interconnects is accelerating as AI clusters require more bandwidth, while Marvell called its CXL memory-expansion business a “home run” with deployments across multiple hyperscalers.
Marvell now expects FY27 revenue of roughly $12 billion (up from $11.5 billion previously) and raised its FY28 target to $18 billion (up from $16.5 billion). Q3 revenue guidance of $3.15 billion was also well ahead of consensus and implies another ~15% sequential jump.
Bottom Line: Marvell’s AI story is broadening from connectivity into custom compute. With custom silicon set to accelerate sharply, management is raising expectations faster than the current quarter alone would suggest. But expectations are already enormous: the stock trades over 50x forward earnings, and much of the Google opportunity through FY28 was already embedded in guidance. That helps explain why shares fell despite Marvell raising both FY27 and FY28 outlooks.